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Globalization is about Americans outsourcing product development and services to other countries. Globality is the next step, where rapidly developing economies from around the world are now competing with us head to head. The authors present a strong case that the economic climate in which we have lived is going to change in unprecedented ways.
"...their insights into the competitive battle in emerging markets are so keen." -William J. Holstein of The New York Times
"Many American chief executives, it turns out, are aiming at emerging markets...And they will find many insights into prevailing in those battles in this book." -William J. Holstein of The New York Times
"...for any corporate strategist pondering the challenges and opportunities of globalization, this book is an indispensable guide." -John Cummings of Business Finance
"While the global economy has been a hot topic for at least two decades, it is in constant need of updating ...GLOBALITY...does the job nicely." - BNET
"[This] vividly detailed tome describes the latest shift in globalization from a one-way street of Western domination to an increasingly competitive global playing field, where businesses from once-discounted nations are solidifying their standing." - CIO Insight
"Whatever the next New World Order turns out to be, the advice in GLOBALITY will come in useful, for multinationals and individual workers alike." -Business Pundit
"A smart discourse on how local companies in developing economies, such
as China, India and Brazil, are bucking tradition and going for broke on
their own terms..." -BNET
"This book is a must-read for leaders of companies in the developed world who want to get into the globality act and stay in it." - Cecil Johnson, McClatchy-Tribune News
"Get ready for a new wave of challengers, 'bursting their way onto the big stage.' So say the three authors of this smart analysis about the latest developments in global competition" - Andrea Sachs of TIME
- Sales Rank: #1403705 in Books
- Brand: Business Plus
- Published on: 2008-06-11
- Original language: English
- Number of items: 1
- Dimensions: 9.25" h x 1.13" w x 6.25" l, 1.08 pounds
- Binding: Hardcover
- 292 pages
- Great product!
From Publishers Weekly
In this bold, well-reasoned book, financial consultants Sirkin, Hemerling and Bhattacharya introduce their concept of globality, the next stage of globalization. Following the hundreds of emerging-market companies that have benefited from the migration of production to their lower-cost shores, the authors assert that the flow of opportunity is now changing; it is developing into the equivalent of a corporate tsunami that could threaten the existence of some of the most established companies in the developed world. The emerging companies in India, China and Mexico have absorbed and applied lessons from their outsourcing experiences and are in a position to challenge the very companies they first partnered with. The authors explore the strategic changes companies in developed nations must make to meet this new reality. Vibrant case studies enliven this book, which will appeal to businesspeople and those simply trying to understand why the world of business is suddenly so different. (June 11)
Copyright © Reed Business Information, a division of Reed Elsevier Inc. All rights reserved.
Review
'Globality carries an important message for any company that conducts, or wants to conduct, business in the worldwide market and succeed: you must face and overcome a series of challenges unlike any you have experienced before. Sirkin, Hemerling, and Bhattacharya tell us how it can be done.'Jeff Henley, Chairman of the Board, Oracle Corporation -- US edition endorsement 'Globality takes you inside the hearts, minds, and operations of the developing-country companies that you will soon be engaging with; as competitors, partners, or your new owners.'Indra K. Nooyi, Chairman of the Board and Chief Executive Officer, PepsiCo -- US edition endorsement
About the Author
HAL SIRKIN, JIM HEMERLING and ARINDAM BHATTACHARYA are partners of The Boston Consulting Group (BCG). Sirkin, based in Chicago, is a Senior Partner and leads BCG Global Operations practice. Hemerling is a San Fransisco-based Senior Partner and until recently was Managing Director of BCG Greater China, based in Shanghai. Bhattacharya is a BCG Partner, based in New Delhi.
Most helpful customer reviews
7 of 8 people found the following review helpful.
Into the next phase of globalization
By railmeat
Globality describes the next phase of globalization and gives advise for how businesses should deal with it. In the authors view the first phase of globalization was companies building factories overseas and outsourcing manufacturing and labor intensive work to low cost countries in the developing world. The "Globality" phase will see companies from both the developed countries and the developing countries competing as peers. There is no longer a lack of talent in the developing countries.
In this new global economy companies must deal with seven "struggles" according to the authors. They are: minding the cost gap; growing people; reaching deep into markets; pinpointing; thinking big, acting fast, going outside; innovating with ingenuity and embracing manyness. Each of these topics makes up a chapter and is elucidated with examples and anecdotes. While each struggle was explained by itself, they did not seem to hang together as a coherent whole.
The authors are consultants at the The Boston Consulting Group; they were clearly writing for clients or potential clients. The text offers several examples of companies which had embraced the particular idea under discussion and a description of how they had benefited from it.
Of course we don't see examples of companies which had tried these ideas and not had success from them. Nor do we see companies that were successful with different strategies. What else had the companies that they profile tried before they came to these ideas? We would have learned a lot more from seeing these different attempts and out comes. Structuring the book as a list of companies that had succeeded by using the authors ideas makes it seem like a long advertisement, not a book that was intended to study a topic, or report on a phenomena.
The advertising nature of the book aside, it was well written and offered and intelligent view of an important topic.
0 of 0 people found the following review helpful.
Good Analysis
By B.Sudhakar Shenoy
Globalization has reached an inflexion point where the size and role of Rapidly Developing Economies (RDEs) in the global economy is changing the rules of the game. The authors analyze this phenomenon from a business and strategic perspective of "Incumbents" ( big fortune 500+ companies primarily belonging to the developed nations) and the "Challengers" who are the flagship companies of the Rapidly developing Economies like China, India, Brazil, Mexico and Russia, to name a few.
The analogy of "Incumbents vs. Challengers" in this book reminds me of another interesting framework, "The Innovator's Dilemma" of Prof Clayton Christensen. The Incumbents tend to move up the value chain, overshooting market needs, by chasing high end customers. On the other hand, Challengers disrupt the game by just meeting the customer needs on a given functionality, but open up a new dimension of competition, taking the Incumbents by surprise. The Incumbents move up further, ceding territory at "the bottom", and when this continues, suddenly, the Incumbents have no further space to move. The proverbial camel has dislodged the Arab from his tent!
Prof C.K.Prahalad's path breaking book "Fortune at the Bottom of the Pyramid" brought out the need for large multinational companies to strategize and execute very differently to succeed in BOP markets. The center of gravity of the global economy is slowly, but surely shifting towards these markets.
This book, to some extent is an extension of the above concepts. Not only do the Challengers do very well on their home turf but are very rapidly moving up into the developed markets, once the undisputed and unchallenged preserve of the Incumbents.
There are several examples of how the Challengers are grabbing every possible opportunity, thinking and acting differently and moving at a pace that the Incumbents are finding hard to cope with. Case studies from India and China across industry verticals including manufacturing, consumer products, steel, services and even pharmaceuticals, make this book a great read. The Challengers have successfully leveraged the initial cost arbitrage advantage to move up the value chain across geographies.
There is also ample advice for Incumbents to realign and reengineer themselves to ensure success in the new era. Conventional concepts of standard global processes should give way to locally adaptable agile practices, and the mindset of "world wide headquarters" should be replaced by "global polycentricism", according to the authors.
Globality, where once should compete with everyone from everywhere for everything, needs a different global value chain perspective and an ability to pinpoint the vital resources and competencies to do business differently, with speed, customer focus and ability to adapt and change. As of now the advantage, it appears, is with the Challengers who do not carry any baggage of the past.
Highly recommended.
9 of 10 people found the following review helpful.
Careful Documentation of What Companies Based in Emerging Markets Are Doing to Compete Everywhere
By Donald Mitchell
Globality is an excellent book for corporate executives, business unit leaders, and entrepreneurs. If you are an investor or want to read about the culture of world business, this isn't going to be your cup of tea.
We are in the middle of the great business convergence, an event so epochal that it will be written about as one of the great turning points in world history over the next several hundred years. What's it all about? Simply, every organization will complete with virtually every other organization on the planet. In the process, the dominant companies of the 21st century will be built.
In Globality, Boston Consulting Group (BCG) partners Harold Sirkin, James Hemerling, and Arindam Bhattacharya take the view primarily from enterprises founded in China, India, Brazil, and Mexico to show how those with the fewest resources, least skills, but lowest costs, are building important global positions in major industries. I compared this writing to what BCG founder Bruce D. Henderson used to write in the 1960s about Japanese, Korean, and Taiwanese companies being poised to deflate profits for companies in the U.S. and Europe, and I was pleased to see that Globality is much more articulate, better defined, and easier to understand.
Although the book is very much about the evidence brought by the challengers, the information is presented neutrally in terms of describing opportunities available for anyone. In addition, there are specific suggestions for what well established companies in developed countries might do to best take advantage of these opportunities.
For me, the best parts were the case histories of companies in China and India that I don't know much about. You'll find many interesting stories.
In terms of analyzing the opportunities, the major themes are:
(1) Minding the Cost Gap
(2) Growing Human Capabilities
(3) Reaching Deeper into Markets
(4) Geographically Pinpointing Resources and Capabilities
(5) Thinking Big
(6) Acting Fast
(7) Getting Help from Outside
(8) Innovating the Business Model
(9) Embracing Global Diversity
(10) Being Prepared to Attack Everywhere and Be Attacked from Everywhere
The chapter titles in the book aren't quite this clear. You'll have to read the material to grasp the key concepts, but you'll get it.
I liked that the book has strategic, organizational, and tactical dimensions. If you want to get a quick look at the overall themes, head to page 239 to read the Nokia story and to page 249 to read the Emerson story.
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